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Sumitomo Chemicals Begins CO2-to-Methanol Production

Sumitomo Chemicals has launched a new plant in Niihama City, Japan, producing methanol from carbon dioxide. The initiative focuses on carbon capture and utilization (CCU) and sustainable energy.

26 June 2026
Sumitomo Chemicals Begins CO2-to-Methanol Production

Sumitomo Chemicals has commenced CO2-to-methanol production at its newly established plant in Niihama City, Ehime Prefecture, Japan. This development represents a significant step in the company's strategy to advance carbon capture and utilization (CCU) technologies and contribute to sustainable energy solutions.

The plant utilizes an innovative internal condensation reactor (ICR) system. This technology facilitates the simultaneous condensation and separation of methanol and water within the reactor, addressing challenges faced by conventional methanol production methods. The ICR is expected to enhance production yield, reduce equipment size, and improve energy efficiency while mitigating catalyst degradation.

Sumitomo Chemicals aims to develop and scale various advanced CCU methods, with CO2-derived methanol production being a key example. The company's objective is to reduce global warming by capturing carbon dioxide emissions and converting them into valuable products. The project has received support from the New Energy and Industrial Technology Development Organization (NEDO).

This production method is positioned to contribute to reducing global carbon emissions by providing a sustainable pathway for methanol, a compound widely used as a chemical feedstock and fuel. The initiative aligns with broader industry efforts to decarbonize chemical production and energy sectors.

Original source: procurementresource.com